Economy of India Essay

India is a fastest developing country in the world. India, with its diversified culture, civilization, natural resources, technology and huge skilled human resources, is also a fastest growing economy in the world. But at the same time there are several problems plaquing our Modern India which is affecting the growth and development. These problems can be broadly classified as: Socio-economic Problems Other major Problems 1. Socio-economic Problems The major socio-economic problem being faced by India is ‘Poverty’. Even after six decades of independence, the country is still fighting against this social evil of poverty. It is estimated that nearly one third of Indian population of 1.21 Billion, i.e., nearly 426 millions of people are living below poverty line. Many go without a meal a day. Though Governments are struggling hard to eradicate poverty, the increasing population and mismanagement of government schemes, have fueled the growth of poverty. The population is growing at an alarming rate. In last ten years the population has grown by 0.20 billion. The positive effects of development are nullified by increase in population. Hence there is an urgent need to curtail population growth, by adopting strict family planning programmes by government. Apart from this there is also a need to increase rural and urban employment, by better management of Government Schemes like Mahatma Gandhi Rural Employment Guarantee Scheme (MGREGS), Jawaharlal Nehru Rojagar Yojana (JNRY), etc. By strict implementation of these schemes poverty can be reduced to a substantial extent. The second most burning socio-economic problem of India is ‘Unemployment’. Nearly 9.4% of Indian population is unemployed. i.e., around 120 million people are either unemployed or underemployed. This large number of unemployment is of great concern and governments are devising new and effective schemes to curb this unemployment. Again by strictly implementing MGREGS and JNRY Schemes, it is possible to reduce the rate of unemployment. Since poverty is directly linked to unemployment, the schemes and effort by government to eradicate unemployment, also helps in eradicating poverty. 2. The Other Major Problems: The other major problem faced by India is lack of ‘Quality education’. Despite governments initiative in schemes like ‘Serva Shikhsa Abhiyana’( Education For All), many children in rural India, still do not have access to good schools and quality education. Further the rural children have to work to contribute to their family income, thereby denying time for education. Despite the government’s effort on compulsory education and child labour ban, many children are still not able to go to schools. Added to this lack of quality teachers is also a cause for decline in quality education. Poverty eradication and improvements of rural schools should be a priority area of concern for governments to address this problem. The next important social problem being faced by India is ‘Corruption’ Corruption is widespread in India. It ranks 72 among top most corrupt countries in the world. In India corruption takes the form of bribes, evasion of taxes, misappropriation of funds, embezzlement etc. A study found that more than 50% had firsthand experience of paying bribe or peddling influence to get a job done in a public office. The main economic consequence of corruption, are loss to exchequer, an unhealthy environment for investment and increase in cost of government services. Apart from this Corruption also leads to an unethical society. This increases the already existing gap between poor and wealthy. This may lead to unrest and destruction of modern societies. This social evil needs to be curbed so as to bring back moral values in the society as well as to fill the widening gap between the haveones and havenots. The introduction of Lokpal Bill in the Parliament, its strict implementation and a moral fight against corruption may help in eradicating corruption in public life. The other major problem is ‘terrorism and naxalism’ this is also the offshoot of social inequality. Many youths in India, due to poverty and lack of education, have trodden the path of either terrorism or Naxalism. Naxalism though, having its root in Marxism, its main cause lies in unequal distribution of wealth. The root cause of terrorism in India is attributable to partly to Logistic fundamentalism and partly due to regionalism. If we curb these two basic issues, by removing social inequality and religious tolerance, and equal development in all the states, these menaces can be easily controlled. The above problems being faced by Modern India can not be solved just by Government Policies and Schemes, but these can be definitely addressed by people’s wholehearted participation and willingness to commit ourselves to Social values, equality and education.